Hipis
14 May 2012
Real Estate / Poland's apartment prices continue to fall [1844]
Without wanting to criticise anyone in particular but 2000PLN for 25m2 IS excessive regardless whether it's in Warsaw or Walsall. Going back to my original question, who determines what is fair market value? It's very easy to say "the market" but there are many factors that affect the market value. Supply and demand is one thing, excess demand over supply, but surely property speculators play a major part in this. Like milky says, people are buying to rent to others, it drove the price of property and rents up in the UK so it's obvious it will do the same in Poland therefore people do affect that market. Also the lack of decent, affordable social housing forces people into the private rented sector so people are forced into paying over inflated prices for property.
Without wanting to criticise anyone in particular but 2000PLN for 25m2 IS excessive regardless whether it's in Warsaw or Walsall. Going back to my original question, who determines what is fair market value? It's very easy to say "the market" but there are many factors that affect the market value. Supply and demand is one thing, excess demand over supply, but surely property speculators play a major part in this. Like milky says, people are buying to rent to others, it drove the price of property and rents up in the UK so it's obvious it will do the same in Poland therefore people do affect that market. Also the lack of decent, affordable social housing forces people into the private rented sector so people are forced into paying over inflated prices for property.